ONGC Videsh Ltd today announced that it reached agreement with Antrim Energy Inc, Canada to acquire majority interest in an exploratory block, Offshore Australia. The acquisition will become final pending approval by the Australian Government.

As per the Agreement signed late evening on Friday, OVL will acquire a 55 percent interest in the Block WA 306 P, located in the North West Shelf, Offshore Australia. The other partner in the block is Magellan Petroleum (W.A) Pty. Ltd.

Having established presence in Eight Countries, this acquisition marks OVL’s first foray into the Australian Oil and Gas Industry. The block, spread over an area of 4,600 sq. km., contains a cluster of drilling prospects in Barcoo Sub-basin. With this acquisition, the company has, however, for the first time, started extending its area of operation and influence in the hitherto sparsely explored regions of the Browse Basin.

"The stake in block WA 306 P in the North West Shelf, Offshore Australia is our first acquisition in Australia and we believe that this opening should pave way for OVL’s participation in many other opportunities in the Australian hydrocarbon sector. The block has good potential and we expect to spud the first well in the coming few weeks." said Subir Raha, Chairman,OVL.

Antrim Energy, a company listed on the London and Toronto Stock Exchanges, is located in Calgary, Canada and has interests in North Sea, South America, Africa and Australia. Stephen Greer, Chairman and CEO of Antrim added, “OVL’s participation in this strategic farm-out underscores the high potential of our Australian drilling operation.”